Establishes payment and performance security requirements for water infrastructure projects.

The Water Infrastructure Subcontractor and Taxpayer Protection Act of 2025 amends the Water Infrastructure Finance and Innovation Act of 2014 to require payment and performance security for projects. It mandates that the Secretary or the Administrator ensure that construction projects have security that meets or exceeds 50 percent of the total construction contract amount. If state or local laws do not require sufficient security, the Secretary or the Administrator must require federal bonds to meet the security requirement.

Establishes payment and performance security requirements for water infrastructure projects.

The Water Infrastructure Subcontractor and Taxpayer Protection Act of 2025 amends the Water Infrastructure Finance and Innovation Act of 2014 to require payment and performance security for projects. It mandates that the Secretary or the Administrator ensure that construction projects have security that meets or exceeds 50 percent of the total construction contract amount. If state or local laws do not require sufficient security, the Secretary or the Administrator must require federal bonds to meet the security requirement.